Credo Technology price target raised to $85 from $80 at Stifel

Stifel analyst Tore Svanberg raised the firm’s price target on Credo Technology (CRDO) to $85 from $80 and keeps a Buy rating on the shares. Following investor meetings at CES with Credo management, the firm said it is clear that active copper technology continues to gain in importance more than ever, over both active optical solutions and passive cable solutions. The company’s management has also maintained a flexible technology strategy with regards to the optical digital signal processors market, having been one of the earliest industry players to release a linear receive optics solution, the analyst tells investors in a research note. Longer-term, while the firm anticipates the market to “exhale” at some point, it believes that are still in the very early stages of a strong secular growth opportunity in AI-driven data center spending, of which it expects Credo to be a prime beneficiary.